Hawaiian Electric Industries Inc (HE) stock analysis
Close on Nov 11, 2026Market cap $1.54BP/E 6.8Yield –
StockData Score
Prices as of Nov 11, 2026How the score works
Mixed12 of 30 checks passed
Hawaiian Electric Industries passes 12 of the 30 checks behind our score; 8 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 6/6
- Growth
- 2/6
- Past performance
- 3/6
- Financial health
- 1/6
- Dividend
- 0/6
What stands out
Margin of safety over 20%
The price is 66.6% below fair value, more than the 20% cushion we look for.
Trading below fair value
The share price of $8.93 is below our fair value estimate of $26.77.
Return on capital over 10%
Return on invested capital was 22.2%, above the 10% that usually covers the cost of capital.
Low debt
Debt is 0.8% of shareholders' equity, under the 40% we consider low.
What to watch
Return on equity under 15%
Return on equity was 13.7% over the last twelve months and averaged -7.3% over five years; we look for 15% on both.
Earnings shrank over 5 years
Net income shrank 8.8% a year on average over the last five fiscal years.
Revenue growing under 10% a year
Revenue grew -3.4% a year over the last three fiscal years, short of the 10% we look for.
EPS growing under 10% a year
Diluted EPS grew -31.4% a year over the last three fiscal years.
Valuation6/6
P/E below its 5-year median
Hawaiian Electric Industries's P/E of 6.8 is below its own 5-year median of 17.8.
P/E below the industry
Hawaiian Electric Industries's P/E of 6.8 is below the Electric Services median of 20.9.
EV/EBITDA below its 5-year median
Hawaiian Electric Industries's EV/EBITDA of 2.0 is below its 5-year median of 6.2.
P/B below the industry
Hawaiian Electric Industries's price-to-book of 0.86 is below the Electric Services median of 2.02.
Trading below fair value
The share price of $8.93 is below our fair value estimate of $26.77.
Margin of safety over 20%
The price is 66.6% below fair value, more than the 20% cushion we look for.
Growth2/6
Revenue growing under 10% a year
Revenue grew -3.4% a year over the last three fiscal years, short of the 10% we look for.
EPS growing under 10% a year
Diluted EPS grew -31.4% a year over the last three fiscal years.
Earnings growth accelerating
Net income grew 1244% over the last twelve months, against a 5-year average of -8.8% a year.
Growing faster than the industry
Revenue grew 13.6% over the last twelve months; the Electric Services median is 7.8%.
Company guidance
No outlook found in earnings releases from the last twelve months.
Gross margin trend
This company does not report gross profit.
Past performance3/6
Return on equity under 15%
Return on equity was 13.7% over the last twelve months and averaged -7.3% over five years; we look for 15% on both.
Return on capital over 10%
Return on invested capital was 22.2%, above the 10% that usually covers the cost of capital.
Return on equity above the industry
Hawaiian Electric Industries's return on equity of 13.7% is above the Electric Services median of 8.3%.
Earnings shrank over 5 years
Net income shrank 8.8% a year on average over the last five fiscal years.
Net margin above its 5-year average
Net margin was 6.6% over the last twelve months, against a 5-year average of -3.6%.
Net margin below the industry
Hawaiian Electric Industries's net margin of 6.6% is below the Electric Services median of 8.8%.
Financial health1/6
Low debt
Debt is 0.8% of shareholders' equity, under the 40% we consider low.
Debt trend
Needs a balance sheet from five years ago with positive equity.
Debt not well covered by cash flow
Operating cash flow over the last twelve months equals -867% of total debt; we look for at least 20%.
Interest not well covered
Operating income covers interest expense 2.3 times; we look for at least 5.
Short-term assets don't cover short-term debts
Current assets are 0.99 times current liabilities.
Elevated bankruptcy risk
The Altman Z-score is 0.61; above 3 is the safe zone and below 1.8 the distress zone.
Dividend0/6
No dividend
Hawaiian Electric Industries has not paid a dividend in the last twelve months.
Yield against Treasuries
No dividend.
Yield against the market
No dividend.
Dividend stability
No dividend.
Earnings cover
No dividend.
Cash-flow cover
No dividend.
Fair value
How we estimate itOur estimate per share
$26.77
The share price is 67% below this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| P/E | 19.4× | 17.8× | 20.9× | $25.54 | 40% |
| EV/EBITDA | 9.2× | 6.2× | 12.2× | $36.43 | 35% |
| P/B | 1.7× | 1.3× | 2.0× | $17.47 | 10% |
| Earnings power | 7.8% cost of equity | – | – | $13.72 | 15% |
| Fair value | $26.77 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/E at month end
- Own 5-year median 17.8
- Electric Services median 20.9
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
Low risk
- Average value traded per day
- $32.23M
- Value traded per 1% price move
- $20.68M
Downside
Medium risk
- Typical loss in a bad month
- 19.4%
- Volatility (annualized)
- 33%
- Sharpe ratio, 1 year
- -0.74
- Beta to the S&P 500 (5Y)
- 0.59
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2011 to 2025
Operating margin
Net margin
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | -4.1% | -3.4% | +3.7% | +1.7% | |
| Operating income | – | -5.6% | -5.5% | -3.1% | |
| Net income | – | -19.6% | -8.8% | – | |
| EPS, diluted | – | -31.4% | -17.1% | -7.2% | |
| Free cash flow | -65.2% | -24.3% | +1.8% | – |
Returns and balance sheet
10 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2016 | FY2020 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | – | 8.6% | 8.2% | |
| Return on assets | – | 1.4% | 1.4% | |
| Current ratio | – | – | 1.32 | |
| Interest coverage | 4.0× | 3.1× | 2.0× | |
| Capex to revenue | 13.9% | 14.9% | 11.1% | |
| Diluted shares | 108M | 109M | 173M |
Where the cash went
Fiscal 2021 to 2025, five years combined
Hawaiian Electric Industries generated $2.26B from operations and spent $2.12B on capital expenditure, dividends and share buybacks. 84% of that went back into the business.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | 4.1% | 0.35× | 5.79× | 8.2% |
| FY2024 | -44.2% | 0.39× | 4.34× | -74.5% |
| FY2023 | 6.1% | 0.27× | 5.27× | 8.8% |
| FY2022 | 7.1% | 0.21× | 6.99× | 10.6% |
| FY2021 | 8.7% | 0.18× | 6.52× | 10.5% |
| FY2020 | 7.7% | 0.18× | 6.23× | 8.6% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
- ProfitableNet income above zero$126.28M
- Cash generatingOperating cash flow above zero$391.07M
- Return on assets improvedROA up on the prior year-18.5% → 1.4%
- Earnings backed by cashOperating cash flow above net income$391.07M vs $126.28M
- Less leverageLong-term debt to assets fell– → –
- Better liquidityCurrent ratio rose1.61 → 1.32
- No dilutionShare count did not rise127M → 173M
- Gross margin improvedGross margin up on the prior year– → –
- More efficientAsset turnover rose0.42 → 0.35
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